Kelian

Mine closure

KEM ceased mining in 2003 and is due to complete production from stockpiled ore in 2005. A Mine Closure Steering Committee (MCSC), including government, community, and NGO representatives, was set up to agree on all significant mine closure issues. Decisions were taken by consensus and the process was essentially complete by February 2003.

The MCSC observed high standards of governance. Decisions were made in accordance with an agreed charter and the results of each meeting were documented and signed individually by all MCSC members, including the representative of the LKMTL (Lembaga Kesejahteraan Masyarakat Tambang dan Linkungan) (Organisation for People's Welfare Mining and the Environment), before being distributed to local communities and other stakeholders.

A framework of trusts and boards of management, involving community, Government, KEM and Rio Tinto representatives, has been established to ensure the long term responsible management of the site. Where parts of the site cannot be rehabilitated, such as the pit which will be developed into a fisheries resource for the long term benefit of the local community, KEM has carried out alternative rehabilitation elsewhere in East Kalimantan. A recently established Community Advisory Group will have a key role in the long term monitoring and maintenance of the site.

During the life of the mine, KEM made significant contributions to the community, including employment opportunities for about 1,700 employees and contractors, skills training and development, and capacity building programmes involving 87 self help groups operating 69 varied and productive businesses in 28 villages. KEM has also established a food security programme to improve agricultural productivity for community groups who will be most affected by the mine closure.

Human rights

Kelian Equatorial Mining (KEM) in East Kalimantan, Indonesia, and Rio Tinto have acknowledged that human rights violations occurred during the early development of the mine and have expressed regret for abuses. In 1999, KEM supported an investigation by an independent team led by Komnas HAM (Indonesian Human Rights Commission) into the allegations.

The Komnas HAM review in 2001 and 2002 indicated that KEM has no legal liability and that no claim could be successfully pursued against individuals through either the criminal or civil courts. Many of the claims related to failed relationships.

However, there were eight cases where Komnas HAM believed that sympathetic assistance was appropriate. These were finalised in 2002 and KEM has fulfilled the settlement terms, including publicly expressing regret. A traditional reconciliation ceremony with the communities in July 2002 closed this issue.